PROPERTY MARKET UPDATE ON RESULTS FOR JUNE 2019
In a SNAPSHOT: We return to our YTD Trend of Volumes down, prices up and it is taking longer to sell.
June results have seen a return of our Year To Date Trend of Volumes down and Prices Up. This is good news for our market and shows it is still a good time to buy or sell your property.
NATIONAL OVERVIEW: (by REINZ)
The number of residential properties sold across New Zealand in June fell by -3.8% from the same time last year to 5,978 (down from 6,213), according to the latest data from the Real Estate Institute of New Zealand (REINZ), but prices are still rising nationally with the national medium price for the month at $585,000 – up from $560,000 + 4.5% year-on-year.
NATIONAL MARKET KEY INDICATORS:
NORTHLAND OVERVIEW: (by REINZ)
“In June, the Northland market saw an increase in the median sale price by 6.1% year-on-year, but a slight decrease in sales volumes of 1% when compared to the same time last year. Interestingly, we have also seen a decrease in the number of properties sold under $250,000 from 10.88% in June 2018 to 8.9% in June 2019. Total inventory was up 16.5% year-on-year, but new listings during the month were down 17.1% with the lowest number of listings ever recorded, currently 296 with a previous low of 307.
The number of days to sell increased by 11 days year-on-year from 53 days in June 2018 to 64 days in June 2019 which is more than the 10yr average for June. Anecdotally, we are seeing that fewer buyers are attending open homes. Reduced sales numbers compared to May 2019 is due to listings slowing in the winter months. Bindi Norwell REINZ CEO
Our seasonally adjusted results tell us that, compared to what we expect when moving from May to June, the observed increase in median price was in contrast to the expected decrease and the observed huge decrease in sales count was more than expected. The current Days to Sell of 64 days is more than the
10-year average for June which is 62 days. The level of inventory available for sale currently sits at 33 weeks, 4 weeks more than in June 2018
DETAILED STATISTICS ARE:
So we are back on our Year To Date Trend with Volumes Down and Prices Up. Last month was just a mix issue that saw this trend very slightly reversed to prices down and volume up.
Our volume of sales are continuing to return to a more normal level for Northland with Prices still up on both last month and last year.
On the ground we are still finding that buyers are being very particular about what they are buying, with a lot of interest from buyers around the medium price range of the market but less buyers in the upper end of the market ie. Above $800k.
We have also noticed the return of investors to the market with an increase in the number of people looking for a first investment property.